Seedrs could be breath of fresh air for vaping firm Vape Emporium - as it raises funds to expand rapidly

Vape Emporium has become the first vaping business to seek investment on Seedrs, Europe’s largest crowdfunding platform.

The company, set up in 2013, has stores in London’s Richmond and Hampstead, an online shop and a wholesale arm, and is looking to expand rapidly over the next three years with four stores a year in and around the capital.

Founders Andy Logan and Amar El Zayat said turnover last year was just under £1 million and that both stores are profitable. El Zayat said: ‘The vaping industry has seen some phenomenal growth over the past five years, but there isn’t really a strong, trusted market player.’

Target: Vape Emporium aims to raise £645,000

Logan said: ‘We’ve got a really focused plan to accelerate our business, become the dominant multi-channel player in London, and seek a successful exit with some very attractive returns.’

The firm is seeking £645,000 for 11.7 per cent of the equity.

E-cigarettes have grown into an $8billion (£6.4billion) a year global market, according to market researcher Euromonitor International, and a study funded by Cancer Research UK last week said they were ‘much safer’ than conventional cigarettes.

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Meanwhile, a report last week named Seedrs as the top investor in private companies in the UK. The firm took first place with 134 deals, while Crowdcube had 124.

Seedrs and Crowdcube facilitate significantly more transactions than any other investors in the country, together responsible for 86 per cent of all crowdfunding activity and 21 per cent of all equity investment in the UK.

The report, The Deal 2016 – Equity Investment In The UK, from Beauhurst, revealed a 10 per cent rise in growth stage crowdfunding, with 80 per cent of these firms crowdfunding for the first time. Seedrs is the most prolific funder into the app market, with 65 fundraisings.

Seedrs alumnus Tandem was listed as ‘one to watch’, with more than £52.3million raised.